The Riksdag approved the government’s proposal for changes to the management of the buffer capital in the public pension funds (AP funds).

The proposal aims to improve the conditions for more appropriate and cost-effective management and involves, among other things, a reduced number of AP funds.

According to the proposal, the operations and assets of the Sixth Swedish National Pension Fund will be transferred to the Second Swedish National Pension Fund. Furthermore, the three Stockholm-based buffer funds will be reduced to two funds by transferring the operations and assets of the First Swedish National Pension Fund to the Third and Fourth Swedish National Pensions Funds.

– The Riksdag has decided that the Sixth Swedish National Pension Fund will be merged into the Second Swedish National Pension Fund. Now the important work begins, as stated in the bill, “the government notes that the Sixth Swedish National Pension Fund has conducted successful operations focused on private equity investments in recent years. It must therefore be ensured that the expertise and experience available in the fund are preserved in the merged operations,” says Katarina Staaf, Managing Director of the Sixth Swedish National Pension Fund.

The proposal also requires that the board of directors of an AP fund must have sufficient competence in certain areas that are particularly important for the management of the fund.

The legislative amendments will enter into force on 1 January 2026.